Research On The Impact Of The Emissions Trading Policy On Enterprise Performance

The pilot of Emission Trading Policy(ETP)is an important practice trying to solve environmental problems through the allocation of resources in the market in China.The impact of ETP from the perspective of influence mechanism and heterogeneity on Chinese industrial enterprises is discussed by the DDD method,using panel data at country level in China from2002 to 2013.The results are as following:(1)The emission trading policy has a significant positive impact on corporate profitability,but has a significant negative impact on corporate total factor productivity(TFP).(2)Based on the result above,this article further analyzes the impact mechanism of emission rights trading policies through DDD method,and finds that the ETP encourage relatively large-scale companies to expand and use the scale effect to eliminate small-scale enterprises in the current market,thus vacating the market for the remaining largescale enterprises.(3)The effects of emission rights trading policies will have different performances under the influence of three factors: enterprise scale,enterprise ownership,and enterprise location.Specifically,the effect of emission trading policy on the profit rate of larger companies is much greater than that of smaller companies,and in the negative impact of the policy on the total factor productivity of companies,larger companies also have an advantage;Whether it has a positive impact on profitability or a negative impact on total factor productivity,only the non-state-owned enterprise group has a significant effect;the positive impact of emission rights trading policies on emission rights trading policies on corporate profit rates is most obvious in the central region,followed by The eastern region has a negative impact in the western region.The negative impact on the total factor productivity of enterprises is most significant in the eastern region.Instead,it has a significant positive impact in the central and western regions,and the central region’s effect is stronger than Western Region.The emission trading policy in 2007 is a relatively unfamiliar attempt for local governments.Local governments should avoid a “one size fits all” implementation method in the process of implementing the policy,and adopt different implementation methods based on the local industrial structure and development.Finally,local governments should strive to guide mutual cooperation among enterprises,encourage the leading ability of larger enterprises,and promote the industry Coordinated development.The main innovation of this paper is to discuss the impact of corporate scale heterogeneity on corporate performance and its mechanism of emission trading policies from a theoretical level,and make an empirical test using data from Chinese industrial companies.